SEC Orders Mandatory Grace Period on Loans During ECQ for Financing, Lending and Micro-finance

Please be advised that, in view of the further extension of the Enhanced
Community Quarantine (ECQ) Period until 15 May 2020, the initial thirty (30)-day
grace period for the payment of loans, as provided under Section 4(aa) of Republic
Act No. 11469, or the Bayanihan to Heal As One Act1
, shall apply to all loans with
principal and/or interest falling due within the extended ECQ Period, from 17 March
2020 to 15 May 2020.



This is pursuant to Section 3.01 of the Implementing Rules and Regulations
(IRR) of Section 4(aa) of the Bayanihan to Heal As One Act, which reads:

“Section 3.01 Mandatory Grace Period. All Covered
Institutions shall implement a 30-day grace period for all loans with
principal and/or interest falling due within the ECQ Period without
incurring interest on interest, penalties, fees and other charges.
The initial 30-day grace period shall automatically be extended if
the ECQ Period is extended by the President of the Republic of the
Philippines pursuant to his emergency powers under the Bayanihan
to Heal as One Act.” 

In this light, all FCs, LCs and MF-NGOs are hereby directed to extend the 30-
day grace period to borrowers with payments due within the extended ECQ Period,
pursuant to Section 4(aa) of the Bayanihan to Heal as One Act and its IRR.



Full memorandum advice of SEC can be viewed here.

BIR RR NO. 6-2020 March 30, 2020 Tax Exemption (RA) No. 11469 (Bayanihan to Heal as One Act)

REVENUE REGULATIONS NO. 6-2020 issued on March 30, 2020 implements the Tax Exemption provision of Republic Act (RA) No. 11469 (Bayanihan to Heal as One Act).

Under the said law, the President has been given the power to liberalize the grant of incentives for the manufacture or importation of critical or needed equipment or supplies, which include healthcare equipment and supplies: Provided, That importation of these equipment and supplies shall be exempt from import duties, taxes and other fees.Based on the said provision, the following declarations are made in the regulations:

a. The importation of critical or needed healthcare equipment or supplies intended to combat the COVID-19 public health emergency, including personal protective equipment; laboratory equipment and its reagents; medical equipment and devices; support and maintenance for laboratory and medical equipment, surgical equipment and supplies; medical supplies, tools, and consumables; common medicines; testing kits, and such other supplies or equipment as may be determined by the Department of Health and other relevant government agencies, shall be EXEMPT from Value Added Tax, Excise Tax and other fees;

COVID 19 Changes in the Business in the Philippines

Coronavirus Disease (2019) COVID-19 now poses a more serious downside risk to the global economy.  The World  Health  Organization  (WHO) declared  the  COVID-19  outbreak  a  pandemic  on  March  11  to signify  its  severity  and  global  coverage  and  urged  countries  to  take  ‘urgent  and  aggressive  action.’  On  March 13, Europe was declared the new epicenter of the virus, as its confirmed cases and deaths surpassedthose  of  the  rest  of  the  world  (except  China).  New  cases  in  Europe  even  surpassed  those  of  China  at  its peak. As  of  March 19,  globally  confirmed  cases  reached218,823 and 8,810 deaths.  In  the  Philippines, there are now217 total confirmed cases, 17 deaths, and 8 recoveries.

As a result, several countries have taken a variety of measures from mass testing, travel/border restrictions, to lockdowns in a bid to contain the virus. Governments and central banks have likewise been adjusting the monetary  and  fiscal  policy  to  mitigate  the  economic  impact.  This  means  that  we  are  now  in  the  second  chapter of the crisis where the pandemic has translated into an economic crisis.  In a way, the second chapter is inevitable since part of the response to address the pandemic is to slow down economic activity. If we are  unsuccessful  in  navigating  through  this  pandemic-induced  economic  crisis,  then  we  enter  the  third  chapter: social and political crisis.

Here's a complete PDF copy of the NEDA's Plan.
Addressing the Social and Economic Impact of COVID-19 Pandemic.